Alcatel-Lucent to sell enterprise unit

Alcatel-Lucent to sell enterprise unit

France-based vendor Alcatel-Lucent is in talks to divest its enterprise unit, which sells telecommunications equipment and services to companies.

The enterprise unit reported an operating loss of €12 million in 2012.

Potential bidders include Unify, Gores Group and Siemens, as well as a Chinese investor and another company based outside the US. The sale is expected to be decided by March.

Alcatel-Lucent tried to sell its enterprise unit in 2011, but there were no bidders.

The company hopes that the sale will allow it to focus on mobile network contracts and realign its strategy.

The move is part of Alcatel-Lucent’s debt-reduction scheme, which it hopes will generate €1 billion from asset disposals by 2015, under the leadership of CEO Michel Combes.

Combes also reportedly plans on cutting jobs to reduce expenses.